16:44 | 14/09/2016 Trade
(VEN) - Although high-quality lychee cultivation in Bac Giang Province didn’t enjoy favorable weather conditions this year, it brought in a high output of 142,000 tonnes, with product price reaching the highest level during the past 40 years.
Revenue from lychee business and related activities came to VND5 trillion in the 2016 crop
Bac Giang Province Department of Industry and Commerce Director Tran Quang Tan told the Vietnam Economic News that the 2016 crop’s average lychee price is VND21,000/kg, VND6,000 higher than 2015’s, while the average export price for this product is VND28,000/kg. Soared prices has increased this year’s revenue from lychee business and related activities to VND5 trillion, he said.
While Bac Giang lychee was just sold to neighboring markets like China in the previous years, this year it has reached futher markets with higher quality requirements, such as the US, Australia, France, the UK, Japan, and the Republic of Korea (RoK).
The department’s report indicates that the province this year exported 13,000 tonnes of high-quality lychee to these markets, accounting for 19% of the country’s total, up from seven percent in 2015. “This is a positive signal and important for Bac Giang to improve its lychee quality anf prestige in the following years,” Tan said.
Speaking at a recentlly held conference summarizing supporting activites for and production and sales of high-quality lychee in the 2016 crop, Head of the Domestic Market Department (Ministry of Industry and Trade) Vo Van Quyen said, as soon as Vietnamese businesses persified export markets, they escaped from being forced by domestic and foreignt merchants to sell product at low prices, therefore contributing to increasing the value of lychee as well as incomes and hope of farmers, and minimizing the situation of bumper crop with decreased prices and vice versa.
Preparing to obtain better results in the next crop
Bac Giang is expected to export around 600 tonnes of lychee to the US in 2017, while at the same time promoting lychee exports to Australia, Europe, Japan, and the RoK, expanding new markets, and stimulating high-value processed lychee exports.
Experts have said this target is absolutely feasible, as Luc Ngan high-quality lychee of Bac Giang has been registered for industrial property right protection in the RoK, China, Japan, Laos, and Cambodia. Profiles are being prepared to make the same registration in the US, Australia, Malaysia, Singapore and several other countries.
Quyen said that Bac Giang should expand its lychee cultivaiton area observing VietGAP and GlobalGAP practices to provide safe products for the domestic market and export, while rapidly improving packaging for easier recognition and better product appearance.
“To expand market, it is important to form and develop a farm produce production and sales chain, aimed at increasing production capability and connecting the State, scientists, farmers and businesses; take the initiative in market analysis and forecast to construct appropriate lychee sales plans; and improve the capability to make use of commitments and measures stated in signed free trade agreements,” Quyen said.
Lychee not only plays an important role in agricultural development in Bac Giang but also has become a major export. In the time to come, Bac Giang will be promoting advanced technology application in high-quality lychee preservaiton to prolong the product’s freshness and develop fresh lychee exports to far, potential markets.
Lan Anh & Thanh Tam